Levine Leichtman Capital Partners (LLCP) and management have acquired Shipley Do-Nuts, a Texas-based donut and kolache chain with over 500 locations in the southeastern U.S., according to sources familiar with the deal. The acquisition, closed on July 1, 2025, was announced a year earlier on July 1, 2023.
| Acquirer | Levine Leichtman Capital Partners (LLCP) |
|---|---|
| Target | Shipley Do-Nuts |
| Value of Deal | Undisclosed |
| Type of Transaction | Buyout |
| Date Announced | July 1, 2023 |
| Closing Date | July 1, 2025 |
| Advisors - Buy-Side | LLCP, Kirkland & Ellis LLP, DLA Piper |
| Advisors - Sell-Side | North Point, J.P. Morgan, North Point Mergers & Acquisitions, J.P. Morgan Securities |
Deal Mechanics
The deal was structured as a buyout led by private equity firm Levine Leichtman Capital Partners (LLCP) and backed by the management of Shipley Do-Nuts. The financial terms were not disclosed; however, the transaction represents an opportunity for LLCP to invest in a well-established quick-service restaurant brand with substantial market presence.
Strategic Rationale
The acquisition is aimed at capitalizing on the growth potential of Shipley Do-Nuts, particularly within its core markets. With a strong track record and significant customer loyalty, LLCP sees an opportunity to enhance operational efficiencies, expand into new territories, and further develop the brand's product offerings.
Financial Context
Shipley Do-Nuts, founded in 1963, has been recognized for its quality products and commitment to community engagement. Over the years, the company has seen steady growth through a combination of organic expansion and franchise development. The financial health of Shipley Do-Nuts positions it well for strategic investment by LLCP.
Advisors
The buy-side was advised by Levine Leichtman Capital Partners, Kirkland & Ellis LLP, and DLA Piper. North Point and J.P. Morgan served as sell-side financial advisors to Shipley Do-Nuts, alongside legal counsel from North Point Mergers & Acquisitions and J.P. Morgan Securities.
Outlook
With the acquisition complete, LLCP is set to work closely with Shipley Do-Nuts' management team to pursue new growth opportunities while maintaining a focus on delivering high-quality products and service experiences for customers across its expanding footprint.